Banking giant Nationwide has announced it will be paying more money into bank accounts of certain customers. Those who have a Branch Single Access account will benefit from an increase to the interest rate.
The rate is going up from 2.8% to 3.55% from February in a boost to savers. Customers who have £5,000 in their account would get an extra £37 in annual interest if the cash is left untouched following the rate increase.
But it’s not such good news for customers with dozens of other accounts. Nationwide will be cutting the interest rates offered on almost 90 savings accounts, reports the Mirror.
READ MORE: Huge state pension change to impact everyone born after this date
Get our best money saving tips and hacks by signing up to our newsletter
The building society will slash rates by between 0.10% and 0.16% on 89 of its variable rate easy and instant access savings and cash ISA products. Nationwide – which has over 17million customers – is also cutting rates on 55 non-ISA savings accounts, with the majority affected being easy access.
Many accounts with interest rates of around 2.05% will be reduced to around 1.80% from February. This may give savers even more reason to shop around for better offers, with the 2.05% rate already lower compared to others available.
Tom Riley, Nationwide’s director of retail products, said: “We have worked hard to limit the impact of the recent rate cut on our savers and have taken the decision to hold rates on some of our most popular accounts, such as our leading Flex Regular Saver. Following these changes, our savings range will remain competitive.
“We returned a record £950million in member financial benefit in the first half of this year and we’ll continue to give savers every reason to put their money with Nationwide.”